KEY TAKEAWAYS
- Trump ends U.S. duty-free import policy 2025, effective August 29, applying tariffs to all parcels under $800.
- Etsy and eBay sellers face rising costs, potential delays, and limited access to international buyers and supplies.
- 1.36 billion low-value shipments, worth $64.6B in 2024, will now be subject to customs enforcement.
- Industry voices warn of “free trade to fee trade” shift, harming microbusinesses more than global brands.
- Customs may be overwhelmed, risking shipment delays due to new processing and tariff assessment requirements.
Americans shopping globally on platforms like Etsy and eBay are set to face new tariffs as the US duty-free import policy 2025 comes to an abrupt end.
Starting August 29, U.S. Customs will revoke the de minimis import threshold that previously allowed packages under $800 to enter duty-free. The change, ordered by former President Donald Trump, will impose tariffs on all low-value imports—marking a dramatic shift in parcel tax tariff policy.
“This policy change could devastate thousands of Etsy sellers who rely on affordable, cross-border trade,” said Jeffrey Zubricki, Etsy’s global head of public policy and advocacy. He warned that the repeal of the US duty-free import policy 2025 will “drive up costs, limit access to materials, and undermine American microbusinesses.”
Last year, 1.36 billion shipments valued at $64.6 billion entered the U.S. under the de minimis rule. That volume now risks being choked by new customs enforcement and unpredictable import fees.
eBay CEO Jamie Iannone echoed concerns on a recent earnings call, calling the repeal “a potential disruption that could reduce consumer choice and seller reach.”
Comparative Tariff Impact Under US Duty-Free Import Policy 2025 Repeal
| Country of Origin | Previous Tariff (Under $800) | New Flat Tariff | Average Etsy Seller Cost Increase |
|---|---|---|---|
| UK | $0 | $80 | +18% |
| Canada | $0 | $120 | +22% |
| Japan | $0 | $200 | +31% |
US Duty-Free Import Policy Shift or Protectionism?
The White House justified the US duty-free import policy 2025 repeal on security grounds—pointing to fentanyl smuggling and a flood of untaxed goods. Trump’s order follows May’s earlier revocation of duty-free treatment for parcels from China and Hong Kong.
Critics, however, say small U.S. sellers—not foreign manufacturers—will bear the brunt. “We’ve gone from free trade to fee trade overnight,” said Amanda Grayson, an Oregon-based Etsy vendor.
Customs Bottlenecks Ahead
Tariffs will be assessed either at a country-specific ad valorem rate or via a temporary flat fee ranging from $80 to $200. Sellers fear customs infrastructure can’t keep pace.
“Border trade is unprepared for this volume of tariff collection,” warned Andrew Wilson, deputy secretary general of the International Chamber of Commerce. “Expect delays and disruptions.”
Platforms are urging sellers to revise pricing, adjust sourcing, and brace for friction in global fulfillment.
